ANZ and Suncorp gain in battle of the banks

ANZ has emerged with the largest gains among major lenders, and Suncorp the largest of non-majors during the past six months of ‘the battle of the banks.’ This is according to AFG’s first Competition Index – a new quarterly bulletin designed to provide greater transparency on the mortgage market.
AFG has 10% of the national mortgage market (Source: ABS and AFG figures) and the figures reported here reflect the proportion of loans written for the company’s extensive panel of lenders by its 1,800 members each month.
The AFG Competition Index shows that the proportion of loans processed by AFG for ANZ rose from 15.0% in April 2011 to 20.1% in October 2011 – a 34% increase. Westpac dominated the investor sector, where its 29.2% loan share (including all owned brands) was ahead of rivals CBA (24.5%), ANZ (17.1%) and NAB (12.6%)
Suncorp was strongest of the non major lenders with an overall loan share of 5.1% in October 2011.
Suncorp was particularly strong in the First Home Buyer market where it has gained particular momentum over the past five months, seizing a total 14.9% loan share in October 2011. This figure exceeds the First Home Buyer loan share of majors NAB (7.7%) and ANZ (12.5%).
Mark Hewitt, General Manager of Sales and Operations says: ‘The mortgage market has become a lot more competitive in recent months, and fluctuations in loan share reflect the competitiveness of the products being offered. ANZ’s competitive professional package and fixed rates are doing well for
them. Suncorp have adapted their deposit requirements to assist First Home Buyers, in particular construction loans, and the results speak for themselves.’
Commonwealth Bank remains as the dominant market player, its overall 25.9% market share benefiting from particular strength in the First Home Buyers market, where, in October, 36.8% of all new home loans processed by AFG were for CBA.
NB LOAN SHARE FIGURES QUOTED ABOVE INCLUDE ALL BRANDS OWNED BY EACH BANK.